China’s Social Security System: Internal Stability as a Strategic Asset

How Welfare Reform, Demographics, and Economic Resilience Shape China’s Domestic Power and Global Posture

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China’s social security system is far more than a welfare mechanism—it is a strategic pillar underpinning domestic stability, economic resilience, and long-term geopolitical ambition. This Global Eye Intelligence report delivers a structured, intelligence-led assessment of how pensions, healthcare, unemployment insurance, and social assistance programs are being leveraged to manage demographic stress, social inequality, and economic transition.

The analysis traces the evolution of China’s social security architecture, highlighting coverage expansion, operational efficiencies, and the growing role of technology, big data, and AI in administration. It also exposes critical vulnerabilities: an ageing population, shrinking workforce, funding sustainability risks, regional disparities, and gaps in rural and migrant coverage. These pressures are not merely social—they directly affect China’s productivity, military modernization, supply chain reliability, and ability to withstand external economic coercion.

Crucially, the report explains how internal stability enhances China’s external leverage—strengthening its soft power narrative, sustaining Belt and Road engagement, and reinforcing its position in strategic competition with the United States and its allies. For policymakers, investors, strategic planners, and geopolitical analysts, this brief offers rare insight into the domestic foundations of China’s global behaviour.

Great power competition is shaped as much by internal resilience as external force. Those who ignore China’s domestic stabilizers misread its strategic staying power. Follow Global Eye Intelligence to stay ahead of the structural forces driving global power shifts.